Exhibit 5-6 Demand curve for concert tickets In Exhibit 5-6, if promoters lower their ticket price form $30 to $20, then:
A) they will receive less money from their ticket sales.
B) people will continue to buy the same number of tickets.
C) customers will spend less total money on concert tickets.
D) both ticket sales and total revenue will rise.

Question

Exhibit 5-6  Demand curve for concert tickets  In Exhibit 5-6, if promoters lower their ticket price form $30 to $20, then:
A) they will receive less money from their ticket sales. 
B) people will continue to buy the same number of tickets. 
C) customers will spend less total money on concert tickets. 
D) both ticket sales and total revenue will rise.

Quizplus · Accepted Answer

According to the demand curve, a lower ticket price will increase the quantity demanded of tickets. Therefore, lowering the price from $30 to $20 will result in an increase in ticket sales, which will raise total revenue.

Exhibit 5-6 Demand Curve for Concert Tickets in Exhibit 5-6